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Technology Stocks : CYCH - Time for another rally?

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To: Village Idiot who wrote (9)10/12/1996 8:12:00 PM
From: Frodo Baxter   of 19
 
I consider these guys dogs because they don't have a compelling
product. SSL, PCT, SET. These were all open standards crafted
by the titans (Microsoft, Netscape, Visa, Mastercard) that have
basically obliterated Cybercash's business model. Now, they
claim they can generate revenue with micropayment and
CyberCoin. First, the success of micropayment is highly dubious.
Second, if it does catch on, Cybercash will find itself in crowded
company immediately. Do you think Netscape would distribute
the CyberCoin client if micropayment is a goldmine? Of course
not; they would write their own.

I cannot predict who will prevail in e-commerce. Too high a
chance I could be wrong! But Verifone and Checkfree both have
existing infrastructures that they could leverage. I have not
carefully inspected their valuations, however. As a general rule,
the purer the Internet play, the more frothy the stock. And the
higher the likelihood of disappointment.
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